| IRS
recently issued new rules that make it easier to deduct the
cost of a weight-loss program. This presents an opportunity
for tax savings, and in some cases a tax refund, for those who
participate in such programs.
A weight-loss program is a deductible medical
expense only if you participate in the program as treatment
for a specific disease diagnosed by a physician. If you undertake
the program to improve your general health, rather than to
alleviate a specific ailment, the costs aren’t deductible.
Therefore, it’s a good idea to get a written diagnosis from
your doctor before starting the program.
IRS now recognizes that obesity is a disease
in its own right. Therefore, if your doctor diagnoses obesity,
you will be able to deduct the cost of a weight-loss program.
Even if you aren’t obese, you can still take the deduction
if the doctor directs you to lose weight as treatment for
another disease, such as hypertension or heart disease.
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Which expenses can you deduct? IRS says that
the fees paid to join the program and to attend periodic meeting
are deductible. However, the cost of low-calorie food that
you eat in place of your regular diet is a nondeductible personal
expense. IRS also won’t let you deduct membership dues
in a gym, health club, or spa.
Bear in mind that medical expenses are an itemized
deduction and are deductible only to the extent the expenses
exceed 7.5% of your adjusted gross income. However, the cost
of a weight-loss program that qualifies as a deductible medical
expense can be reimbursed through an employer’s medical
flexible spending account, thus providing the equivalent of
a deduction without having to meet the 7.5% limit.
If you had expenses in earlier years that
were deductible under these rules, but you failed to claim
them, you may be able to get a tax refund by filing an amended
return. Generally speaking, tax returns can be amended for
three years after the due date.
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